Question
Annual cash inflows from two competing investment opportunities are given below. Each investment opportunity will require the same initial investment. Investment X Investment Y Year
Annual cash inflows from two competing investment opportunities are given below. Each investment opportunity will require the same initial investment. Investment X Investment Y Year 1 $ 8,000 $ 11,000 Year 2 9,000 10,000 Year 3 10,000 9,000 Year 4 11,000 8,000 Total $ 38,000 $ 38,000 You must use spreadsheet functions or a financial calculator to solve these questions. Required: Compute the present value of the cash inflows for each investment using a 7% discount rate. (Round final answers to the nearest dollar amount.) Present Value of Cash Flows Investment X $ Investment Y $ ReferenceseBook & Resources
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